“Worst Political Fundraising Environment” yet raised $1.1 Million in 28 days

That headline just does not make sense to me, a political fundraiser, Michael Bauer  was quoted in the Chicago Sun Times talking about US Senate hopeful and current Illinois Treasurer Alexi Giannoulias. The most amazing thing to me is he raised this $1.1 million for his exploratory committee in 28 days.

Yes, 28 days, HOW can this be? Everywhere you look the economic slump is taking a toll and yet people are willing to pump money into a race that will be decided in 19 MONTHS! One of the tools of the trade is a call to action in any appeal or ask campaign so I wonder what their appeal looked like.

As a fundraiser I look at this as exciting because if his campaign can do it so can anyone else. Political fundraising is a little different due to campaign finance laws however donations are not tax deductible. So if you or a fundraiser you know feel that people only give for the tax break stop that thinking now.Instead of going back to why we think people give, lets look at the value proposition that this  Giannoulias campaign has.

Before I forget this is NOT special interest money, he is not accepting any corporate PAC (political action committee) or federal lobbyist money. This impressive sum also has no personal money.  So this is true person to person fundraising.

Going back to the value add, it is imperative for political campaigns to get what is called early money, just like non profits people want to give to successful organizations where they feel the money will do the most good. Early money is a double edged sword, you need to have a huge 1st reporting period in order for other organizations, political parties, and donors to take you seriously as a candidate. A candidate’s viability is determined by early fund raising, others will donate if you prove yourself viable. As any fundraiser knows the first few dollars are the most difficult of any campaign especially if you are raising money for an unknown entity. Giannoulias is currently treasurer of Illinois, not unknown however how many people can name your state treasurer? It is not a high profile elected position and currently the state of Illinois is in financial trouble like most of the US. I would think it would be a difficult proposition for this campaign, “Hi I am running for US Senate where I will help determine our country’s financial future, pay not attention to the fact that I am responsible for Illinois’s money and we are almost bankrupt. ” In reality the treasurer is responsible for collecting the money and paying the bills, budgetary decisions are made by the State Assembly, I assume few people know the difference.

So what are these fundraisers doing different?  I did not see any invitation’s or details on line. Normally a host committee or event invitation can give clues to the overall fundraising plan, I will be checking the FEC filings as soon as I can to see what kind of giving pattern there may be.

Thanks for the questions I have received on these topics I will answer them as soon as I can and feel free to submit more.